How much the US gov would make from legal sports betting?

mcfinex · Sep 5, 2003

Here is my conservative estimate for what the US Gov is missing out by not legalizing sports betting?

$3.5bn per year

I assumed a 5% betting duty on every bet made. For example a even money $100bet would cost $105.

The math behind my estinmates that I took Ireland's 5% duty which brought in 44mln in revenue duty for the year 2000. I then extrapolated that number to the US population vs Ireland population.

The $3.5bn could be bigger considering the US disposal income per individual is greater then that of Ireland.

Wake up Washington.

Dante · Sep 5, 2003

I would buy that...they would make money hand over foot...but the dumbasses are trying to ban it instead

HacheMan · Sep 5, 2003

Apparently more than the idiots realize, or they would be trying to reach some deal in legalizing it to benefit themselves, instead of trying to ban it completely!

Fishhead · Sep 5, 2003

The thing is now, thousands of new people have been introduced to sportsbetting via the offshore route. Thus, the amount of illegal bookmaking that would result from making offshore betting ILLEGAL, WOULD BE 100 FOLD WHAT IT USED TO BE. Wake up and smell the beans Washington, your to late. lmfao!

buddyboy · Sep 5, 2003

$65bn to rvamp Iraq... It would only take 22 years to pay for it with sportsbetting revenue (not counting Interest)

I'll call congress

Woody0 · Sep 5, 2003

Betting duty on each individual bet was the model the UK used for many years in the domestic B & M betting stores. This led to the establishment of telephone/internet offshore books in such locations as Gibraltar, Malta etc. that were tax free.

This model has now been changed to a tax on profits, which has been recognized as more equitable.

The head of Bet365 is publically on record as wanting to pay to the US tax on that portion of income derived from US clients and has expressed an interest in meeting with legislators to explore (educate) the possibility.

The income derived in this manner is less than a tax per bet but is infinitely more than they are receiving now

.

CharlieMaxwell · Sep 5, 2003

More than they do now!

Chadster · Sep 5, 2003

billions

WildBill · Sep 6, 2003

Just be careful for what you wish for. Would you be willing to pay a 5% tax on your winnings like that? The math isn't good. After costs a book is lucky to hold 2% of its handle, the money the government makes off of slots is just so much higher that for them to justify this they would have to charge some exorbitant taxes. Look at the UK, they are seeing a boom in sports betting because of the end of the insidious 10% betting duty that used to exist. People would do nothing but bet parlays because what is the point of betting $110 to win $90??? Who could beat that? It would be like horse races, thousands if not millions betting on it and a very select few actually making anything off of it. Sports betting has thrived because 11-10 is pure genius, the perfect balance between profits for the books and the potential profits for those that can hit 53% or better.

winkyduck · Sep 6, 2003

about as much as they would make if they made prostitution legal, too.

think about it:

all income from the ladies (and companies that hire them) would be taxed

revenue from testing centers would skyrocket since the ladies would get tested a lot more than they are now

the cost of putting law enforcement on the beat would plummet - meaning they could do other things more productive to the force (like - sadly - write more tickets - or solve old and cold cases, etc.)

make "the world's oldest profession legal, too and $$$$$$$$$$$$$$$$$$$$$$

but as long as the minority run this country - it will NEVER happen. the bible belt thumpers would NEVER let this happen. they would rather do things much more "beneficial" to society like murder abortion doctors (let me get this straight - anti-abortion people are against senseless "murders" of a fetus - yet they are FOR murdering the people who "kill" the fetuses - do i have this right - i think i do) than allow - god forbid - legal gambling or prostitution.

xoxojoe · Sep 6, 2003

Wildbill is right I play them fillys in OTB
in NY and the goverment hammers you.So keep it
just the way it is.
Keep Goverment out of our gameing pockets.

oldmantime · Sep 6, 2003

I don't know what price you put on "peace of mind". For me it would be worth $110 to win $90.

I must be in the minority.

How much the US gov would make from legal sports betting?

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mcfinex

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I am sorry for using the "R" word - and NOTHING EL

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